Stradbrooks Global Limited fined after prolonged AML compliance failures
Broad Street, London, EC2M 1HN, has agreed to pay a financial penalty of £8,640 following an investigation by the Solicitors Regulation Authority (SRA).
The outcome, dated 10 February 2026 and published on 11 February 2026, was reached by a regulatory settlement agreement. In addition to the fine, the firm agreed to the publication of the agreement and to pay the investigation costs of £600.
The SRA launched its investigation after a desk-based review conducted by its Anti-Money Laundering (AML) Proactive Supervision Team. The review identified concerns regarding the firm’s compliance with the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (MLRs 2017), as well as obligations under both the SRA Principles and Codes of Conduct in force during the relevant period.
The regulator found that between 26 June 2017 and 14 August 2025, the firm failed to maintain an adequate firm-wide risk assessment (FWRA) addressing the risks of money laundering and terrorist financing to which its business was exposed. Regulations 18(1) and 18(2) of the MLRs 2017 require firms to conduct and keep up to date such an assessment.
The firm admitted that, for conduct occurring before 25 November 2019, it failed to achieve or breached Outcomes 7.2 and 7.5 of the SRA Code of Conduct 2011 and Principles 6 and 8 of the SRA Principles 2011. For conduct occurring from 25 November 2019 onwards, it admitted breaching Principle 2 of the SRA Principles 2019 and paragraphs 2.1(a) and 3.1 of the SRA Code of Conduct for Firms 2019.
In assessing the sanction, the SRA considered mitigation advanced by the firm. The firm reviewed and amended its FWRA and is now compliant with the MLRs 2017. It cooperated with both the AML Proactive Supervision and AML Investigation teams and admitted the breaches at an early stage. The regulator confirmed there was no evidence of harm to clients.
However, the SRA concluded that a fine was appropriate. It stated that the firm’s conduct demonstrated a disregard for statutory and regulatory obligations and created potential risk by failing to maintain a compliant AML control environment. Approximately one-third of the firm’s service offering fell within the scope of the MLRs 2017, meaning there was ongoing exposure to potential risk.
Using its published guidance on financial penalties, the SRA assessed the conduct as more serious, with low harm or risk of harm. This placed the matter within Band B. Based on the firm’s annual domestic turnover, a basic penalty of £9,600 was calculated. The SRA reduced this to £8,640 to reflect mitigation.
The agreement confirms that the firm will not deny the admissions made. If it does so or acts inconsistently with the agreement, the SRA may take further disciplinary action, including referral to the Solicitors Disciplinary Tribunal.